My Neighbor Alice Delta-Neutral Funding Rate Cash & Carry Strategy
Captures perpetual futures funding yields by maintaining a spot long position balanced by an equal-sized short perpetual contract. Backtest, deploy, and forward-test live on My Neighbor Alice (ALICE) with automated 1:2 risk brackets and institutional cost accounting before risking a dollar.
Free forever paper tier · Live Binance spot prices · Non-custodial · No card required
Quantitative Specifications for ALICE
Filtered by market state. Stands down during unverified regimes to defend equity.
Typical duration from signal confirmation to take-profit or defensive stop exit.
Pre-calculated bracket parameters balancing win-rate expectancy against drawdown.
Mathematical Engine & Formula
Net APR = 3 * 365 * FundingRate_8h - 2 * RoundTripTradingFeesEntry Condition: Deploy position when the annualized 8-hour funding rate yields at least 15% net of round-trip trading fees and basis spread.
Exit Condition: Unwind legs when funding rate flips negative or drops below the 4% minimum threshold for 3 consecutive intervals.
Execution & Cost Transparency
Most backtests fabricate impossible returns by assuming zero fees and zero slippage. Zengtrade factors realistic market realities into every paper trade on My Neighbor Alice:
- Spot Friction: Requires dual-leg execution. Watch liquidation risk on the short perpetual leg during sudden upward squeezes.
- Slippage Buffer: Modeled with volume-weighted order book depth.
- Kill Switch: Position auto-closes if volatility breaks maximum daily threshold.
Authored & Verified by Zengtrade Quantitative Research: Every model parameter for My Neighbor Alice (ALICE) is calibrated on historical Binance spot tick archives with a 35 bps round-trip friction model (exchange fees, spread, and slippage buffer). Zengtrade operates under a strict non-custodial, paper-first mandate: we never hold client deposits, never charge commissions on trading volume, and never fabricate hypothetical return curves. Forward-test evidence must be established before live deployment. Read our Regime Engine Methodology and Risk Disclosures.